Frequently Asked Questions About Timed Online Auctions
Why choose a timed online auction to sell my property instead of selling by the traditional MLS only real estate method?
Choosing the right method to sell your property is key to maximizing the value of your sale. So which method should you choose? The answer depends largely on your real estate goals. Timed online auctions is a tool that the Smith & Griffith Real Estate Team With CIR Realty brings to you that may help you achieve and often exceed those goals! As licensed REALTORS®, we know from experience that the traditional process has limitations, especially when it comes to rural property transactions. Timed online auctions have many benefits to consider. The Smith & Griffith Real Estate Team With CIR Realty is here to help guide you through the process of choosing the right method. No matter which method you choose, both methods will be paired with a powerful focused marketing strategy. We are confident that you will not find a more effective team working for you! Give us a call and we can discuss both methods and their respective benefits.
What are the benefits of selling via Timed Online Auctions?
- Timed online auctions accelerate the sales process and allow the Seller to control the timeframe of their sale. Sellers are in control of all terms of their timed online auction such as the date, time, deposits, closing – possession date, etc.
- A timed online auction puts a time limit on the process. You know exactly when the money will be in your bank.
- There is no better way to determine the highest market value than through a timed online auction inclusive of all interested Buyers. Timed online auctions eliminates the difficulty of setting a list price.
- Property is sold “as is” with no contingencies, which means less stress for you.
- Timed online auctions can generate a higher return because Buyer emotions take over. Two or three Buyers might compete for a property and will pay a premium, to prevent someone else, perhaps a competitive farmer, neighbour or developer, from buying the property.
- Timed online auctions let the Buyers decide whose name is going on title. With many properties especially rural properties, the Seller often has several neighbours who would like to buy the property and the Seller does not want to choose which neighbour gets to buy the property nor do they want to offend their other neighbours.
- Buyers are pre-qualified for timed online auctions as they have done their due diligence on the property and thus, have already taken mental ownership to some extent. Buyers are prepared with what they can spend but often are not willing to “lose” the property over just one more bid. Buyers know the property is selling that day and there are no chances to buy it tomorrow.
- Timed online auction provide Buyers ‘anonymity and the chance to bid in privacy wherever they may be in the world with internet connection.
Why use the Smith & Griffith Real Estate Team for Timed Online Auctions?
- Professional REALTORS® with over 25 years of experience selling Real Estate in Alberta
- A track record of professionalism, integrity, and top producer status
- Commitment to handle the entire timed online auction process marketing, paperwork, bidding platform.
- Exposure on the #1 real estate website in the world – MLS Listing Service – Realtor.ca plus dozens more
- Proven Marketing Plan to maximize exposure
- We will utilize our experience, knowledge, and marketing plans to bring top dollar for every property.
How does the timed online auction process work?
- Select a timed online auction date, we recommend minimum 4-6 weeks from the date of contract signing.
- Determine the terms of the sale. We typically begin the bidding 2-3 days before the timed online auction’s end date and time. All the terms regarding amount of deposit, goods included, closing date, crop allocation, lease agreements, surface lease revenue, tenant agreements, etc. are set by the Seller. We recommend a minimum 10% Buyer deposit upon successful bid and signing of the real estate purchase contracts with balance due at closing, within 30 days.
- Sign CIR Realty brokerage listing paperwork
- Review our recommended marketing strategy to promote your specific property which includes but not limited to full MLS listing on Realtor.ca; prominent onsite signage; photography – drone and still photography and professional video; Digital Marketing on www.smithgriffith.com, CIR Realty website, Kijiji, specific digital platforms such as FarmMarketer, Luxury Portfolio, Horseproperties.net; traditional advertising such as radio and local newspapers; social media on FaceBook, Instagram, Linked In, etc; direct emails to our extensive Buyer database that is positioned to bring qualified Buyer activity and premium bids on the timed online auction day.
- Let us handle the rest! We take care of the entire process including educating potential bidders about the timed online auction, facilitating registrations, scheduling showings and facilitating Buyer inspections as requested. (Any inspection costs are at the Buyer’s expense). The terms and conditions of the sale, purchase contracts and any available property documents are made available on our website for each timed online auction.
- Timed Online Auction goes Live!
- Once the timed online auction bidding is complete, all purchase contracts and supplementary paperwork are signed and completed by the Seller and Buyer. Deposit collected and held `In Trust’ at CIR Realty. Then CIR Realty conveyances the paperwork to the conveyancing lawyers for both the Buyer and Seller.
- Property is legally SOLD! Sellers’ proceeds will be available from their lawyer on the closing date.
What does it cost?
Sellers do not pay an up-front fee but are responsible for title insurance and/or real property reports if required and their own legal fees. As indicated on the listing paperwork, Sellers pay broker commissions out of the proceeds of sale upon a successful closing.
What are the timed online auction formats?
Reserve: The property must sell at or above a pre-determined price.
Unreserve: The property will sell to the highest bidder on timed online auction day. There is no minimum bid that must be exceeded to purchase the property. Smith & Griffith Real Estate Team With CIR Realty recommends this method as it is the most transparent format thus, drawing the most bidders to participate and potentially place higher bids.
Where does the timed online auction take place?
SMITH & GRIFFITH works in conjunction with the top Online Auction Service providers to allow Buyers to participate in our timed online auctions in real-time from anywhere in the world. Bidders can watch bids live when they are logged in.
How is our property marketed?
Our strategic marketing plan uses traditional and non-traditional mediums to promote your property. Including but not limited to: full MLS listing on Realtor.ca; prominent onsite signage; photography – drone and still photography and professional video; Digital Marketing on www.smithgriffith.com, CIR Realty website, Kijiji, specific digital platforms such as FarmMarketer, Luxury Portfolio, Horseproperties.net; traditional advertising such as radio and local newspapers; social media on FaceBook, Instagram, Linked In, etc; direct emails to our extensive Buyer database that is positioned to bring qualified Buyer activity and premium bids on the timed online auction day. We customize our marketing plan to your specific property and potential Buyers.
I am ready to sell my property by timed online auction. What now?
Contact our team via phone, email or social media. We will schedule an initial meeting to explain our “No Bull” approach and determine the best strategy to ensure your real estate goals are reached. Once we have determined that timed online auction is the best strategy for your property, our team of specialists will complete a Comparable Market Analysis. After all terms and conditions of our listing contracts are determine and signed, we will put our customized timed online auction marketing plan in action! Call 403-350-7815 to connect with Rees Smith or call 403-803-3299 to connect with Kari Griffith. Get the Smith & Griffith Real Estate Team With CIR Realty working with you!
Can interested Bidders view the property?
As licensed REALTORS® in Alberta, we will show the property to all interested bidders by appointment through scheduled viewing days. The Seller is not required to show the property to any potential bidders. If a bidder is not available for an in-person showing, we have excellent still and drone as well as videography that we use to showcase the property.
Why is a timed online auction an advantage when settling an estate?
When settling an estate, this is a fair way to establish a price if any of the beneficiaries would like to bid on the property. In addition, it has a finite marketing and sale period. The beneficiaries have a set date of completion and closure.
I am thinking of Buying a property via Timed Online Auction – What is the process?
Please contact us directly for instructions on registering to bid.
Before the Timed Online Auction
Properties can be viewed through private showings with the Smith & Griffith Real Estate Team With CIR Realty and Buyers can complete their inspections and Due Diligence prior to the timed online auction. Timed online real estate timed online auctions are listed on www.smithgriffith.com and MLS/Realtor.ca. Sale dates and times are advertised. All purchases at the timed online auctions are sold “as-is,” meaning the properties are selling without Buyer conditions or warranties from the Seller. Buyers are solely responsible for viewing and doing their due diligence prior to bidding and purchasing.
Together with the Seller, we do our best to disclose any information known about the properties such as Seller disclosures, surveys, zoning, taxes, title registrations, easements, leases, revenue, other reports, etc. All information is provided to give Buyers confidence in the purchasing process of an “as-is” property.
If you have additional questions, ask REALTORS® Rees Smith or Kari Griffith. Our experienced team can explain how timed online auctions work and answer questions on any specific property we have for sale. We will engage all Buyers under a Customer Status Realtor Client Relationship contract.
To buy at a timed online auction, Buyers must first register online for a bidder’s number. A driver’s license or other government issued identification is required. A $1.00 charge on your credit card is required to prevent fraudulent accounts/bidders.
Please review the terms and conditions and bidding instructions carefully for the specific timed online auction that you are interested in. This will ensure your registration goes smoothly. The timed online auction will begin promptly at the advertised time with announcements and terms of the sale. Any last-minute changes or disclosures will be made at this time.
During The Timed Online Auction
Timed online auctions are fast paced and exciting! Be prepared with your maximum bid price in mind so you are confident and ready to participate.
After The Timed Online Auction
The winning bidder will meet with Rees Smith and/or Kari Griffith either online or in person to finalize the contractual purchase agreement and make the required deposit.
Real estate closings typically occur 30 days from the date of the timed online auction. Bidding on a real estate timed online auction is a legally binding agreement to purchase the real estate for the bid amount. Closings are not contingent on financing, appraisals, inspections, or any other factors. Please be sure of your decision before you place a bid as it cannot be retracted, and non-completion will result in forfeiture of deposit and potential legal action from the Seller.
As a Bidder, is my identity protected within the Timed Online Auction?
Bidder names are not publicized during nor after the timed online auction. Likewise, the Seller is only aware of the successful bidder’s name with the purchase contracts and will not know the names of the unsuccessful bidders nor their level of bids.
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